A Fort Mill electric company violated overtime pay laws. Here’s what it paid back.
A Fort Mill electric company had to pay back wages to more than 100 employees after violating the Fair Labor Standards Act.
According to a Feb. 25 news release from the U.S. Department of Labor, an investigation from the department’s Wage and Hour Division found Simpson Electric Co. failed to include quarterly bonuses it paid employees when calculating their overtime rates. Basing overtime rates only on base hourly pay meant payment at lower rates.
The residential electric company paid $21,500 in back wages to 116 employees after the violations were discovered.
“Employers must have a clear understanding of which kinds of perks they need to include, and which they can exclude when calculating overtime,” said Jamie Benefiel, Wage and Hour Division district director, in the release.
Benefiel’s office offers online videos, in-person visits and calls to help employers understand what the law requires of them.
“Other employers should use the results of this investigation as an opportunity to review their own pay practices to make sure they are in compliance,” Benefiel said. “We encourage them to reach out to us with questions, and to use the wide variety of tools we offer to help them understand their responsibilities.”
The release doesn’t mention any legal action against the company. Employers who discover overtime or minimum wage violations can self-report and resolve them without litigation through the PAID program. For more, call 866-487-9243 or visit dol.gov.
This story was originally published February 25, 2020 at 12:23 PM.